LaTeX and 8bit input

How can I get LaTeX to accept 8bit input and display the full
isolatin1 character set. Currently, it (seems as it) simply discards
the extensions, displaying a word such as
t.st
as
tst
(substitute your favorite non-ascii 8bit isolatin1 character for the
dot abov).
Here at departement, we have a style called `isolatin1' that enables
the display of these extended characters.
In a previous version of debian (believe it was 1.1 beta), it worked
to include the style `t1enc', but doing this under 1.1-fixed, tries to
generate some fonts such as dcr1000m, but this process fails rather
quickly.
I have also tried using the `inputencoding' style giving the `latin1'
option, but with no visible effect.
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Christian Lynbech | Computer Science Department, University of Aarhus
Office: R0.32 | Ny Munkegade, Building 540, DK-8000 Aarhus C
Phone: +45 8942 3218 | lynbech@daimi.aau.dk -- www.daimi.aau.dk/~lynbech
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Hit the philistines three times over the head with the Elisp reference manual.
- petonic@hal.com (Michael A. Petonic)